Economy

President Obama spoke at New York's Federal Hall on Monday, where the topic of discussion was how Wall Street needs to take responsibility for the downfall of the economy, as well as its future. One year after Lehman's downfall that intensified the financial meltdown, the president spoke on the state of the economy, as well as what the White House's plans are to wind down government involvement in the banking sector.

Wall Street's Role:

Since Wall Street was largely responsible for the downfall of the economy last year, Obama is said to want to urge the financial community to take responsibility for past, current and future actions in a number of ways. For one, he wants the financial community to support reforming the regulatory system.He also wants the community to avoid a return to the practices on Wall Street that led the economy to the financial crisis we're still reeling from and to recognize its obligation to produce wider recovery overall.

The Government's Role:

While Obama calls on Wall Street to heighten responsibility to the economy, he hopes to lessen the government's role. Slowly, but surely, he wants to shut down emergency bank lending programs and allow the financial community to take over. According to the Treasury, the process of exit will not be a hasty one since time will be needed to make a proper transition.

The good news is that the slow transition from government involvement backtothe financial communitymay mean more emergency fund availability for those in need. However, since taxpayers are likely going to have to foot the bill for the assistance at some point, is the slow transition actually a win-win situationfor us?

It looks like credit card issuers have reached anew low when it comes to customer satisfaction. According to a recent report from J.D. Powers, on a scale of 1000, customer satisfaction ranks at 703. This is lower than 2008's ranking of 710, and the lowest showing since the firm began looking at credit cards in 2007.

There are a number of reasons that credit card issuers have not been popular with customers. For one, issuers in recent months have been known to decrease limits by hundreds or even thousands without notice - even for the best customers - based on economic issues. Some customers have even complained that they've become the victims of a special kind of profiling tactic that lowers their limits because they shop at stores where some of their customers shop who may not be as good with making their payments.

Other reasons for dissatisfaction include increased fees, minimum monthly payments, and penalty charges. In general, it seems that the credit card issuers have been less concerned with looking out for their customers.

According to the report, the 2009 satisfaction score dropped from a solid D to a D-minus.Some respondents in the reportnoted thattheir feelingscome from beinghit with an interest rate increase of almost double over the past year. Overall, customers reporting complaints increased from 10% in 2008 to 18% in 2009.

While most credit card issuers were hit hard by the report, the two with highest satisfaction ratings were American Express and Discover. However, the general dissatisfaction with the industry is palpable. Many credit card holders are holding their breath for the new Credit Card Accountability, Responsibility and Disclosure Act that is supposed to restrict unfair credit card practices starting in Feb. 2010. Until then, it's likely that credit card issuers will continue to meet with dissension from their disgruntled customers.

What is your take on the credit card situation? Are you a happy with your credit card company?

Overdue mortgages and foreclosures saw a good deal of limelight as the economy fell to pieces starting in 2007.

As consumers struggled to make sense of the banking industry, a number of changes were put in place that will hopefully prevent many consumers from making the same mistakes and falling...

U.S. first-time jobless claims dropped to the lowest level since July last week - a sign that the economy may be deteriorating at a slower pace. Data from the Labor Department shows that applications fell to 550,000 in the week ended Sept. 5 from 576,000 the week before.

Otherdata from the Labor...

Here is a recap of important finance news from around the world.

Summary : Sen. Ted Kennedy passes away from brain cancer, Australia to create a program for its auto financiers, Sen. Chris Dodd chosen to replace Kennedy, Texas bullish in recession, Pittsburgh's pension fund is in trouble and...

After several month of continued escalation, mortgage rates have declined . Those who were kicking themselves for missing an opportunity of getting the lowest mortgage rates in decades, once again stand a chance as the current reported rate for a 30-year fixed mortgage has decreased to 5.12%...

To help stabilize the real estate market, President Obama passed into law a new stimulus act that will give qualified first time home buyers a $8,000 tax rebate. If you buy a home between now and December 1st as a first time home buyer who meets certain criteria, that money can be yours.

...

Here is a recap of important finance news from around the world.

Summary : Pelosi will not allow health care plan to pass without public option, Chile sees economic recovery and needs new credit sources, Fed Chief Bernanke meets with other finance leaders, Saab no longer bankrupt, and personal...

Here is a recap of important finance news from around the world.

Summary : Overall mixed signals from the economy, another major bank fails, more AIG jobs are cut, some Asian and European countries are pulling out of the recession and the health care reform is still a mess.

Hong Kong Pulls Out...

Newly-disabled, laid-off workers have been seeking access to their social security benefits in droves, but have found that claiming their funds has been more difficult than once thought. As the weakened economy and lost jobs results in an increase in debilitating illnesses, more people are...